Market Research Report : HbA1c Testing Market in India 2014 - Sample

Insert Cover Image using Slide Master View

Do not distort

HbA1c Testing Market – India

September 2014

2 HbA1c TESTING MARKET IN INDIA 2014.PPT

Executive Summary

Market

Drivers & Challenges

Technology Trends

Competitive Landscape

Drivers

Increase in the number of diabetics

Growing need for diabetes diagnosis

Increasing ageing population

Comprehensive health insurance policies covering diabetics

Challenges

Test results can be influenced

High price of tests

Racial and ethnic variations in HbA1c results

Major Diagnostic Service Providers

Company 1 Company 2 Company 3

Major HbA1c Analyzer and Reagent Manufacturers

Company 4 Company 5 Company 6

Latex Enhanced Immunoassay Method

Enzymatic HbA1c Assay Method

High-Performance Liquid Chromatography Method

India is facing a persistent rise in its diabetic patient population and the number is estimated to grow from ‘u’ mn in 2013 to ‘v’ mn in 2018

HbA1c testing market in India is expected to reach INR ‘h1’ bn in 2018, growing at a CAGR of ‘x1’% from INR ‘a1’ bn in 2012

3

• Macroeconomic Indicators

• Introduction

• Market Overview

Testing

HbA1c

• Drivers & Challenges

• Diabetes Disease Trends

• Technology Trends

• Competitive Landscape

• Strategic Recommendations

• Appendix

HbA1c TESTING MARKET IN INDIA 2014.PPT

4

Macroeconomic Indicators (1/3)

11

12

13

14

15

INR tn

Q4

c4

b4

a4

Q3

c3

b3

a3

Q2

d2

c2

b2

a2

Q1

d1

c1

b1

a1

2013-14 2012-13 2011-12 2010-11

GDP at Factor Cost: Quarterly

Inflation Rate: Monthly

-2

-1

0

1

2

Aug 2013 - Sep 2013

q p

%

Nov 2013 - Dec 2013 Sep 2013 - Oct 2013

-t

Oct 2013 - Nov 2013

s

Jul 2013 - Aug 2013

r


5

• Healthcare expenditure comprises ~y% of India’s GDP

• Favorable demographics, increase in awareness levels

and better medical care are some factors that are

driving the healthcare sector in India

• Hospitals form the largest segment of overall

healthcare market, followed by pharmaceuticals,

medical devices, health insurance and diagnostics

• Gradual penetration of health insurance is stepping up

affordability of health services through increased

demand for preventive and curative healthcare services

• Superior quality healthcare, coupled with low

treatment costs in comparison to other countries, is

benefitting Indian medical tourism, thereby driving the

Indian healthcare market

• Treatment for major surgeries in India costs

approximately 20% of that in developed countries

0

5

10

15

INR tn

+16.6%

2015e

d

2014e

c

2013e

b

2012

a

2018

h

2017e

g

2016e

f

Healthcare Market Size & Growth

Healthcare Market – Segmentation (2012)

Healthcare Industry Overview

r%

q%

p%

u%

t% s% Segment 3

Segment 2

Segment 1

Others

Segment 5

Segment 4

N.B.: Diagnostics include both Pathology and Radiology

Healthcare system in India requires a large public outlay due to the huge population base


6

Diabetes is a major 21st century disease that would affect nearly one-tenth of the world population by 2030

Diabetes – Global Overview

0

100

200

300

400

500

mn

c

2012

b

2011

a

+2.13%

2020e

k

2019e

j

2018e

i

2017e

h

2016e

g

2015e

f

2014e

d

2013

Global Prevalence of Diabetes

• Diabetes is one of the major health and development challenges that the world is facing today with an estimated ‘w’ mn deaths due to diabetes in 2013

• In addition, about ‘v’ mn people do not have access to the necessary medicines and technologies required to maintain their health and prevent complications arising out of diabetes

• It is estimated that by 2035, there will be around ‘y’ mn people living with diabetes • China and India together constitute ~p% of global diabetes prevalence


7

Rising diabetic population of India will ensure steady growth of HbA1c testing

• HbA1c market in India is expected to reach INR ‘h1’ bn in 2018, growing at a CAGR of ‘x1’% from INR ‘a1’ bn in 2012

• HbA1c tests can be offered exclusively or in packages with other tests by diagnostic service providers

• High-Performance Liquid Chromatography (HPLC) method is currently the most common method adopted for conducting HbA1c tests in India

• PoCT for HbA1c testing at the household level is not available in the domestic market and hence, the laboratories and hospitals offering HbA1c tests hold 100% market share

• There is a growing level of awareness among the diabetic patient population of India about HbA1c testing which is leading them to take the test independently, which in turn, will suitably drive the HbA1c testing market in India Approximately 3%-5% of the HbA1c test takers come without doctor’s recommendation

8

6

4

2

0

2015e

d1

2014e

c1

2013

b1

2012

a1

INR bn

+x1%

2018e

h1

2017e

g1

2016e

f1

HbA1c Market Size & Growth HbA1c Tests Conducted Annually

HbA1c – Market Overview

0

5

10

15 h2

2017e

g2

2016e

f2

2015e

d2

2014e

c2

2013

b2

2012

a2

mn

+x2%

2018e


8

Drivers & Challenges – Summary

Drivers

Increase in the number of diabetics

Growing need for diabetes diagnosis

Increasing ageing population

Comprehensive health insurance policies covering diabetics

Challenges

Test results can be influenced

High price of tests

Racial and ethnic variations in HbA1c test results


9

Diabetes Disease Trends– Summary

`

Diabetic Retinopathy

Chronic Kidney Diseases

Cardiovascular Disease

Cataract

Foot Ulcers

Glaucoma

Diabetic Neuropathy

Diabetes Disease Trends


10

Competitive Rivalry

Bargaining Power of Suppliers

Bargaining Power of Buyers

Threat of Substitutes

Threat of New Entrants

Impact XX

Impact XX

Impact XX

Impact XX

Impact XX

Market Competition – Porter’s Five Forces Analysis


11

Key Ratios of Top 3 Companies – Operational Basis (FY 2013) (1/3)

Competitive Benchmarking – Diagnostic Service Providers (1/4)

-20

0

20

40

60

%

SRL Diagnostics Pvt. Ltd.

b3 a3

Dr. Lal Pathlabs Pvt. Ltd.

b2 a2

Apollo Health and Lifestyle Ltd.

-b1

a1

Net Margin Operating Margin

• Company 1 recorded operating margin of a1%, higher than that of Company 2 and Company 3 which recorded operating margin of a2% and a3% respectively

• Net margin was highest for Company 2 which recorded a net margin of b2%, followed by Company 3 and Company 1. which recorded net margin of b3% and –b1% respectively


12

Private: Domestic Company – Company 1 (1/5)

Key People

Products and Services

Company Information Offices and Centres – India

Category Products/Services

Consultations

Diagnostics

Heath Check

Others

Name Designation

Person 1 Whole-Time Director

Person 2 Director

Person 3 Director

Person 4 Director

Corporate Address

Tel No.

Fax No.

Website

Year of Incorporation

Head Office


13

Name No. of Shares held

Shareholder 1

Shareholder 2

Shareholder 3

Shareholder 4

Shareholder 5

Shareholder 6

Shareholder 7

Shareholder 8

Total

100%

Category 1

Shareholders of the Company Ownership Structure



14

Financial Snapshot Key Ratios

Improved Decline

Financial Summary

• Company incurred a net loss of INR XX mn in FY 20XX, as

compared to net profit of INR Y mn in FY 20YY

• It reported total Income of INR XX mn in FY 20XX, registering

an increase of X per cent over FY 20YY

• It earned an operating margin of X.X per cent in FY 20XX an

increase of X.X percentage points over FY 20YY

• The company reported debt to equity ratio of X.XX in FY 20XX,

an increase of X.X per cent over FY 20YY

Net Profit/Loss Total Income

-50

-100

-150

800

600

50

0

400

200

0

INR mn INR mn

2013

-q4

p4

2012

-q3

p3

2011

q2

p2

2010

q1

p1

Particulars y-o-y change

(2013-12) 2013 2012 2011

Profitability Ratios Operating Margin

Net Margin

Profit Before Tax Margin

Return on Equity

Return on Capital Employed

Return on Working Capital

Return on Assets

Return on Fixed Assets

Cost Ratios Operating costs (% of Sales)

Administration costs (% of Sales)

Interest costs (% of Sales)

Liquidity Ratios Current Ratio

Cash Ratio

Leverage Ratios Debt to Equity Ratio

Debt to Capital Ratio

Interest Coverage Ratio

Efficiency Ratios

Fixed Asset Turnover

Asset Turnover

Current Asset Turnover

Working Capital Turnover

Capital Employed Turnover



15

Business Highlights

Description News

Overview • XX

Diagnostics • XX

HbA1c • XX

Future Plans • XX



16

T O

W S


Private: Domestic Company – Company 1 – SWOT Analysis (5/5)

17

Key People

Products and Services

Company Information Head Office – India

Corporate Address

Tel No.

Fax No.

Website

Year of Incorporation

Ticker Symbol

Stock Exchange

Name Designation

Person 1 Chairman

Person 2 Managing Director

Person 3 Independent Director

Person 4 Independent Director

Category Products/Services

Pharmaceutical & Nutritional

Medical Products and Diagnostic Tests

Head Office


Public: Foreign Company – Company 2 (1/4)

18

Key Ratios

Financial Summary

• Company incurred a net loss of INR XX mn in FY 20XX, as compared to net profit of INR Y mn in FY 20YY

• It reported total Income of INR XX mn in FY 20XX, registering an increase of X per cent over FY 20YY

• It earned an operating margin of X.X per cent in FY 20XX an increase of X.X percentage points over FY 20YY

• The company reported debt to equity ratio of X.XX in FY 20XX, an increase of X.X per cent over FY 20YY

Improved Decline

Financial Snapshot

Financial Summary

Indicators Value (dd/mm/yyyy)

Market Capitalization (INR mn)

Total Enterprise Value (INR mn)

EPS (INR)

PE Ratio (Absolute)

Net Profit / Loss Total Income

0

5,000

10,000

15,000

20,000

0

500

1,000

1,500

2,000

INR mn INR mn

2013

b4

a4

2012

b3

a3

2011

b2

a2

2010

b1

a1



Particulars y-o-y change

(2013-12) 2013 2012 2011 2010

Profitability Ratios Operating Margin

Net Margin

Profit Before Tax Margin

Return on Equity

Return on Capital Employed

Return on Working Capital

Return on Assets

Return on Fixed Assets

Cost Ratios Operating costs (% of Sales)

Administration costs (% of Sales)

Interest costs (% of Sales)

Liquidity Ratios Current Ratio

Cash Ratio

Leverage Ratios Debt to Equity Ratio

Debt to Capital Ratio

Interest Coverage Ratio

Efficiency Ratios Fixed Asset Turnover

Asset Turnover

Current Asset Turnover

Working Capital Turnover

Capital Employed Turnover

19

Key Business Segments Key Geographic Segments

Business Highlights

Description News

Overview • XX

HbA1c Testing • XX

Future Plans • TXX

100%

50%

0%

2013

100%

Segment 1

100%

50%

0%

2013

100%

Region 1

Region 1 is the only geographic segment in which the company

operates


The company operates only in the Segment 1


20

T O

W S


Public: Foreign Company – Company 2 – SWOT Analysis (4/4)

21

Thank you for the attention

About Netscribes, Inc. Netscribes, Inc. is a knowledge-consulting and solutions firm with clientele across the globe. The company’s expertise spans areas of investment & business research, business & corporate intelligence, content-management services, and knowledge-software services. At its core lies a true value proposition that draws upon a vast knowledge base. Netscribes, Inc. is a one-stop shop designed to fulfil clients’ profitability and growth objectives.

HbA1c Testing Market – India report is part of Research on India’s Healthcare Industry Series. For any queries or customized research requirements, contact us at:

Disclaimer: This report is published for general information only. Although high standards have been used in the preparation, “Netscribes” is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes and prior permission is required for guidelines on reproduction.

Phone: +91 22 4098 7600 E-Mail: [email protected]


http://www.netscribes.com/

mailto:[email protected]

Market Research Report : HbA1c Testing Market in India 2014 - Sample

Business

Transcript of Market Research Report : HbA1c Testing Market in India 2014 - Sample